Total and Permanent Disability (TPD) Insurance.

Reader:
Won't you be also concern for yourself? The TPD part.
Medical is already covered for everyone aka Medishield.
I believe most people say not afraid to die, but afraid cannot die.

AK:
Why should I be concerned?






Reader:
Sick and disability. I imagine this 2 are for everyone to think about. Sorry I don't mean to pry. But sought your thoughts on what's necessary to insure for own self. If not necessary one then don't have to pay for it.

AK:
If we have dependents, we need life insurance. Buy term. We also need the following:

For hospitalization, H&S.
For critical illness, CI insurance.

If you are still reliant on your earned income, then, TPD coverage is relevant to you.

It is relatively costly but it will give you peace of mind while you are building your portfolio or until you are able to tap your CPF savings.

Reader:
The insurance agent out there won't really think for customers. We have to be our own agent. But sometimes can't get the "logics" yet. Thank you again.

Best insurance is still: THIS. 






Of course, not everyone is able or willing to be an investor. 

For many people, building up their CPF savings is probably the best way to bolster retirement funding adequacy.

For them, if a meaningful lump sum is available for withdrawal from their CPF account at age 55, having TPD coverage till age 55 could be sufficient.

Otherwise, some amount of TPD coverage till age 65 is probably a better idea as the earliest CPF Life would start paying a monthly income for life is at 65 years old.






Whether we need TPD coverage and to what age we need it will depend on when we will be able to work when we want to and not because we need to.

Yes, if you are a regular reader of my blog, this should sound very familiar.

Related posts:
1. Term Life.
2. H&S (Medishield).
3. Critical Illness.
4. Eldershield.
5. CPF Life.
5. Start with a plan...
6. Work because we want to...

"Jobless for almost a year and losing my mind."

Reader:
I stumbled on your blog last month when searching for ways to make my savings last longer. 

There are many other blogs on money but your blog just feels more real to me. 

We are about the same age and also single but, unlike your frugal ways, I have always had the good life.

To be honest, I used to laugh at people like you. 

As I have been jobless for almost a year, I don't laugh now.

I really regret now. 

Looking back, I really did not need to spend so much money on my flat, my car and on looking good.

Still servicing loans, my savings is running low and I have been avoiding meeting friends recently. 

I have been telling everyone I have been travelling for work a lot.

I think I am losing my mind.







AK:
Your situation seems pretty bad but it is not the end of the world.

HEALTH:
I am not a doctor but it sounds to me that you might be suffering from depression or on the verge of going into a depression. 

Go to a government polyclinic or IMH for consultation. 

Inexpensive but effective. 

I am quite serious about this because depression is very dangerous (hyperlinked to IMH website) and could lead to death.







This is from IMH:
A person who experiences five or more of these symptoms for more than two weeks may have a depressive illness:

Persistent sadness; or feeling down or gloomy

A loss of interest in activities previously enjoyed

Weight loss or weight gain; or decrease or increase in appetite

Difficulty falling asleep or staying asleep; or sleeping excessively

Feeling agitated or restless

Feeling tired and lacking the energy

Feelings of worthlessness or excessive guilt

Difficulty concentrating or having trouble thinking

Frequent thoughts of death or suicide





JOB SEARCH:
While you continue searching for a new job, please remember that with all the disruption that is going on, it is possible that we might have to accept lower pay and a job very different from what we used to have especially if we are structurally unemployed.

The world has been changing rapidly and it makes financial security a much higher priority than ever before especially when job security has become more elusive.





MONEY:
Sell your car. 

It is a luxury you can no longer afford. 

Take public transport instead.





Since you are single, you might want to consider renting out spare bedrooms if you have any. 

If you do not have spare bedrooms or if you do not like the idea of sharing your home, I don't know how big your mortgage is but if it is draining your resources rapidly, you might want to consider selling your home too. 

Getting a housing option that will cost only a small fraction of your current home will help a lot. 






Remember, unless our home is fully paid for, it is a liability. 

Even if it is fully paid for, if it does not generate income, it is an asset with attached expenses (i.e. operational expenses).

We want to keep our expenses low (especially when our income is compromised). 

So, downsizing (especially if it leads to right sizing) is a sensible option.






People often feel invincible during good times and only truly appreciate their financial fragility during hard times.

You are suffering now but your situation is not hopeless. 

Do the right things and right your life.






Related posts:
1. Do 3 things to Recession proof your life.
2. Do 3 things to be Mentally and financially prepared for retrenchment.